Most Electroplating Enterprises Resume Work After the Lantern Festival with January PMI Staying in Contraction Range

SHANGHAI, Feb 2(SMM) - The final reading of PMI for electroplating industry was 49.86, stayed in the contraction range. The production index in January was 49.17 as most electroplating factories were on holiday. Meanwhile, the downstream orders were light, which affected the procurement of enterprises and thus the new order index was 49.67. In terms of raw materials, due to the strong nickel prices in January, enterprises purchase on demand. Supplier delivery index fell into contraction as the logistics services were halted during the Chinese New Year holiday. In February 2023, the initial reading of PMI is 50.22%. After the CNY holiday, the production of enterprises gradually recovered, and the delivery time returned to normal. However, the follow-up nickel prices may remain strong and the costs of raw material are still high, hence the downstream procurement is still uncertain. As such, the production index and new order index are conservatively expected.